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New North Summit 2007

New North Summit 2007. Edward E. Gordon Keynote Address: “More & Better: Preventing a Workforce Meltdown”. The Education-to-Employment System is broken. “More & Better: Preventing a Workforce Meltdown” Agenda. Part I: 2010 Issues Part II. 2010 Solutions & Opportunities.

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New North Summit 2007

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  1. New North Summit 2007 Edward E. Gordon Keynote Address: “More & Better: Preventing a Workforce Meltdown” www.imperialcorp.com

  2. The Education-to-Employment System isbroken www.imperialcorp.com

  3. “More & Better:Preventing a Workforce Meltdown”Agenda Part I: 2010 Issues Part II. 2010 Solutions & Opportunities www.imperialcorp.com

  4. AgendaPart I: 2010 Issues • Demographics • Technology • “The Unflat World” ― Education Critical Mass • Help Wanted: Worldwide 5. Current Solutions “Shopping the World” www.imperialcorp.com

  5. U.S. Workforce between 2010 & 2025 • Baby Boomers − 79 million Americans born 1946-64 retire • Generation X − 40 million Americans born 1965-77 − Less job ready than baby boomers • Generation Y − 70 million Americans born 1977-95 − Less job ready than prior generations www.imperialcorp.com

  6. Change in U.S. Population2000-2020 Source: U.S. Census Bureau www.imperialcorp.com

  7. Wisconsin UnemploymentOctober 2007 5.2% www.imperialcorp.com

  8. United States Manufacturing 2005 #1 in Value of Manufactured Products (Double China’s) 61% of U.S. Exports Source: Economist Intelligence Unit www.imperialcorp.com

  9. 3. Education Critical Mass The Unflat World www.imperialcorp.com

  10. PISA Math Scores of 15-year-oldsSelected Countries Source: OECD, 2006 (PISA 2003 data from 29 nations) www.imperialcorp.com

  11. Wisconsin High SchoolDrop-Outs Age 18-64 317,194 (9.3%) Source: U.S. Census Bureau, 2005 www.imperialcorp.com

  12. Wisconsin High SchoolDrop-Outs Age 18-24 78,899 (15.6%) Source: U.S. Census Bureau, 2005 www.imperialcorp.com

  13. Wisconsin State High School Graduation Rates (U.S. average = 73%) All WI Students 77.3% Asian 74.8% Hispanic 53.6% Black 44.8% White 82.6% Source: EPE Research Center, 2007 www.imperialcorp.com

  14. II. Adults 90+ Million American Workers Lack Reading Writing Math Skills to do their jobs properly www.imperialcorp.com

  15. National Adult Literacy Assessments1993/2003 Prose Results Compared Adult Pop. 2003 Categories’93%/’03%Total 222 Million I. Below Basic 14/14 31M II. Basic 28/29 64M (95M) III. Intermediate 43/44 98M (Moderately Challenging) IV. Proficient 15/13 29M www.imperialcorp.com

  16. New North CountiesPercent of Adults at Level 1 Literacy Brown 11% Marquette 19% Calumet 9% Menominee 10% Door 13% Oconto 16% Florence N/A Outagamie 11% Fond du Lac 11% Shawano 15% Green Lake 14% Sheboygan 13% Kewaunee 12% Waupaca 14% Manitowoc 13% Waushara 18% Marinette 15% Winnebago 10% www.imperialcorp.com

  17. National Adult Literacy Assessments1993/2003 College Grads Compared Prose Proficiency 4-year Graduates & Graduate Degrees 19932003 91% 72% Source: U.S. Department of Education www.imperialcorp.com

  18. WisconsinCollege Graduates(Adults Age 25+) 25% Source: U.S. Census Bureau, 2006 www.imperialcorp.com

  19. Ratio of Science & Engineering Degrees to 24-Year-Old Population Council on Competitiveness, 2000 www.imperialcorp.com

  20. U.S. Aging by Occupations www.imperialcorp.com

  21. U.S. Jobs Shifts 2000-2020(In Millions) Job Categories 200020102020 Professionals/Executives 44 52 60 Sales, Technical 42 50 60 Tech Support/ Skilled Craft 22 29 43 Low End Service 20 25 27 Other Low Skill Jobs 24 21 17 Source: U.S. Bureau of Labor Statistics, 2005 www.imperialcorp.com

  22. U.S. Labor MarketJobs 2004-2014 Source: Daniel E. Hecker, U.S. Dept. of Labor, 2005 www.imperialcorp.com

  23. U.S. Labor MarketJobs 2004-2014 Source: Daniel E. Hecker, U.S. Dept. of Labor, 2005 www.imperialcorp.com

  24. U.S. Workforce • Techno-Peasants (50%) • The Walking Dead (25%) • Smart People (25%) www.imperialcorp.com

  25. U.S. Techno-Peasant Numbers • 25.4M – Age 18-64 have not completed high school (or equivalent) • 8.1M – Have dropped out before 9th grade • 28.8M – With a high school diploma or less are not earning living wages • 8.3M – Age 18-64 with high school diplomas or less have difficulty speaking English or speak no English at all • 1.5M – Included in this group are in state & federal prisons www.imperialcorp.com

  26. U.S. Talent Challenge 2010-2020 Jobs vs. Today’s Workforce 75% High Pay 25% of Workers Require Career Prepared for Prep. Career-Based Jobs 25% Low-Pay 75% of Workers ($10-12 hr.) Prepared for Low-Skill Jobs Nothing Source: Edward E. Gordon, 2010 www.imperialcorp.com

  27. 10 Hardest-To-Fill Jobs in the U.S. • Sales Representative • Teacher • Mechanic • Technician • Management/Executive • Truck Driver • Driver/Delivery • Accountant • Laborer • Machine Operator Source: Manpower, 2007 www.imperialcorp.com

  28. U.S. Labor MarketTalent Shortages 2010-2020 CategoryShortfall All Jobs 3M-6.1M Nurses 340K-1M Doctors 55K-200K Health Technicians 200K-400K Information Technology 500K-1M Engineers 50K-250K Teachers 500K-1M Scientists 100K-200K Sources: Bureau of Labor Statistics & Professional Associations www.imperialcorp.com

  29. Increases in Wages 2007 United States +4.5% India/China +20% “In-Shoring” www.imperialcorp.com

  30. The 2010 Meltdown Globalization Technology Demographics Education and Career Skills Employment High Wage/High Skill or Low/Wage/Low Skill Economy Expands or Contracts www.imperialcorp.com

  31. Agenda2010 Solutions • Business Culture Change • Career Culture Change • Mobilizing Community Culture Change • The 2010 Challenge & Beyond www.imperialcorp.com

  32. Business Culture Change www.imperialcorp.com

  33. Future Workforce Implications • Slower labor force growth will increase pressure for participation of all labor force segments • Technological advances may enable more labor force participation of persons with disabilities • Various accommodations could increase the participation of older people, women with children, persons with disabilities, etc. www.imperialcorp.com

  34. What Business Needs: AMeasurableDefinable Process that isTransferable Return-on-Investment (ROI) www.imperialcorp.com

  35. www.imperialcorp.com

  36. How Innovation Happens Information (Data, Facts) Knowledge (Insight) Wisdom (Ideas) Inputs Memorization Comprehension Applied Thinking Activities Learning Under- standing Innovation Outcomes www.imperialcorp.com

  37. The Sixth Discipline’s“ Winning Formula” High-Tech Highly Increased IncreasedWorkplace + Educated = People + Profit Workers Productivity Fewer complex For the amount machines do produced & level more work of quality For the amount Lower fixed labor produced & level costs at comparable of quality world productivity cost levels www.imperialcorp.com

  38. Career Culture Change www.imperialcorp.com

  39. Human Ability Areas • Linguistics • Logical-Mathematical • Spatial • Musical • Bodily Fine-Gross Motor • Interpersonal • Intrapersonal Source: Robert J. Sternberg, 1996 www.imperialcorp.com

  40. Q. What is a NGO? A. An intermediary agency that builds a network. www.imperialcorp.com

  41. 4. The 2010 Challenge and Beyond Career Culture Business Culture Education Culture Education Prep. and Lifelong Learning Career and Job Alternatives Employment High Wage/High Skill or Low/Wage/Low Skill www.imperialcorp.com

  42. The “C” (Culture) Factor Culture X Literacy = Education X Marketplace = GDP C = A nation’s attitudes & motivation on the importance of personal learning & applying it throughout life. L = Personal reading practices & formal schooling. E = The “critical mass” of a nation’s knowledge. M = The socioeconomic forces driving business, government and non-profit activities. GDP = Gross Domestic Product: The wealth of a nation. www.imperialcorp.com

  43. The 2010 Solution Business Labor Educators Parents & Students Government NGO Intermediary Agency Liberal Arts Education & Career Prep. Incumbent Worker Lifelong Learning Employment High Wage/High Skill Economy Expands www.imperialcorp.com

  44. For more information, go towww.imperialcorp.comor contact: Dr. Edward E. Gordon imperialcorp@juno.com 312-664-5196 www.imperialcorp.com

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